Braskem (NYSE:BAK) Shares Gap Up – Here’s Why

Braskem S.A. (NYSE:BAK) shares gapped up prior to trading on Thursday . The stock had previously closed at $3.68, but opened at $3.88. Braskem shares last traded at $3.9250, with a volume of 803,522 shares changing hands.

Analysts Set New Price Targets

BAK has been the subject of a number of analyst reports. Weiss Ratings reissued a “sell (e+)” rating on shares of Braskem in a report on Monday, April 20th. Bradesco Corretora lowered shares of Braskem from an “outperform” rating to an “underperform” rating and set a $1.50 price objective for the company. in a report on Tuesday, April 21st. Bank of America lowered shares of Braskem from a “neutral” rating to an “underperform” rating and set a $2.80 price objective for the company. in a report on Thursday, March 26th. Zacks Research lowered shares of Braskem from a “strong-buy” rating to a “hold” rating in a research note on Monday, May 18th. Finally, JPMorgan Chase & Co. raised shares of Braskem from a “neutral” rating to an “overweight” rating and set a $5.50 target price for the company in a research note on Tuesday, May 12th. One research analyst has rated the stock with a Buy rating, three have given a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Reduce” and a consensus target price of $3.40.

Braskem Stock Up 1.8%

The company’s fifty day moving average is $3.98 and its two-hundred day moving average is $3.67. The stock has a market cap of $1.49 billion, a price-to-earnings ratio of -0.89, a PEG ratio of 0.08 and a beta of 1.57.

Braskem (NYSE:BAK) last released its quarterly earnings data on Thursday, May 14th. The company reported $0.69 earnings per share for the quarter, topping analysts’ consensus estimates of $0.21 by $0.48. The company had revenue of $3.51 billion for the quarter, compared to analysts’ expectations of $3.39 billion. Braskem had a negative net margin of 13.72% and a negative return on equity of 23.17%. Sell-side analysts predict that Braskem S.A. will post 3.15 EPS for the current fiscal year.

Hedge Funds Weigh In On Braskem

Institutional investors have recently bought and sold shares of the company. EverSource Wealth Advisors LLC increased its stake in Braskem by 444.4% in the 4th quarter. EverSource Wealth Advisors LLC now owns 8,579 shares of the company’s stock valued at $25,000 after buying an additional 7,003 shares during the period. Quadrant Capital Group LLC increased its stake in Braskem by 222.1% in the 4th quarter. Quadrant Capital Group LLC now owns 12,809 shares of the company’s stock valued at $38,000 after buying an additional 8,832 shares during the period. Signaturefd LLC increased its stake in Braskem by 50.1% in the 4th quarter. Signaturefd LLC now owns 13,524 shares of the company’s stock valued at $40,000 after buying an additional 4,513 shares during the period. Evergreen Capital Management LLC purchased a new stake in shares of Braskem during the 4th quarter worth $44,000. Finally, Cetera Investment Advisers purchased a new position in shares of Braskem in the 1st quarter valued at about $51,000.

Braskem Company Profile

Braskem (NYSE:BAK) is a leading integrated petrochemical company based in São Paulo, Brazil, and holds the distinction of being the largest thermoplastic resins producer in Latin America. The company operates across the entire value chain, from feedstock sourcing and polymer production to distribution and recycling. Braskem’s comprehensive approach to petrochemical manufacturing enables it to serve a diverse set of end markets with a broad portfolio of products.

Braskem’s core product lines include polypropylene, polyethylene and polyvinyl chloride (PVC), which are used in industries such as packaging, automotive, construction and electrical & electronics.